Many people wrongly assume that crowdfunding is the easiest way to fund a new venture. They are only partly right. A crowdfunding campaign may be easy to set up but it takes a lot of effort to make it successful.
Take a detailed look at successful crowdfunding campaigns. You will notice a pattern – all of them feature a product or cause that strikes a chord with the audience. What kind of product or cause do you wish to highlight in your campaign? Do you think it will get noticed by your target audience?
This article will help you plan for your next crowdfunding campaign by highlighting 15 reasons why you may fail. View these reasons as cautionary words of advice. Make use of the pointers featured here to follow the right marketing path to excellence.
- Not having the right plan in place
A crowdfunding campaign needs a solid plan to succeed. You will have to perform thorough research to arrive at the right approach for your campaign.
Go through 10 to 15 successful campaigns and understand how it became successful. Similarly, go through unsuccessful campaigns and try to analyze why they failed. Use the insights gained to plan and create the perfect crowdfunding campaign!
- Having flimsy goals for the campaign
What do you seek to achieve through the campaign? List your goals in a clear and detailed manner. Leave no doubts in the reader’s mind. You should provide accurate deliverables and timelines that appear feasible to the reader. This helps to connect with the reader, ensuring he contributes to your campaign.
- Not reaching out to a widespread audience
Let’s suppose you have a brilliant campaign hosted on a reputed crowdfunding site. What’s the next step? Don’t assume that people will reach out to you – it’s the other way around actually. You will have to spread news about your campaign on as many sites as possible. Create press releases and share links to your crowdfunding sites on social media.
The more people you reach out to, the higher chances of your campaign becoming successful.
- Failure to reach out to family and friends
Most campaigns receive significant contributions from friends and family members. Make sure you reach out to them and gain their support. Their contributions will help lay the foundation for the success of your campaign.
The contributions made by them will give the impression that your campaign is doing well. More people will be inclined to fund your campaign. So reach out to your family and friends – take them out for lunch if the need arises.
- Absence of a video
Most crowdfunding followers get a better understanding of the product or cause through videos. Don’t hesitate to hire a freelancer to create the perfect video for you. The video should be creative, engaging and witty!
On the other hand, a poorly created video will work against your campaign. So make sure you have the right video representing you.
- Not giving importance to thumbnails
In most crowdfunding sites, the thumbnail image is the first thing prospective backers see. Make sure yours looks engaging and creative. Visit successful crowdfunding campaigns to understand how they used thumbnails. Use these insights to create the perfect thumbnail image that explains your campaign cleverly.
- Poorly planned campaign Title and Subtitle
A lot of thought must be given to arrive at the perfect title for your crowdfunding campaign. Again, visit other campaigns to explore ideas to help you create the perfect title.
Approach a content guy to create attractive copy to represent you on the crowdfunding site. Make sure the Title looks unique. There may be other products similar to yours featured on the site. You will have to create a USP that sets you apart from the rest!
- Looking beyond your current set of followers on social media sites
Promoting your product or cause on social media is a good thing. Make sure you look beyond your current set of followers. Reach out to as many people on social media by sharing the link to your campaign on relevant groups.
- Not highlighting your strengths and credentials
A successful campaign is the brainchild of a creative and inspiring individual. He has a clear vision for the campaign. He is firm about the goals he seeks to achieve and the deliverables he commits to.
Make sure you dedicate a couple of lines to describe your expertise vis-à-vis the product or cause you wish to seek funds for. Having an expert at the helm is a big plus.
- Failure to include visual images
People love visual images. Make sure your campaign is promoted by a good share of attractive images. These images should be relevant, visually appealing and great to look at.
If you are seeking funds for a product, then make sure you have as many images of it as possible. This will help you save time and connect with readers quicker.
- Failure to communicate with backers
Every campaign features a comment section. This is where backers share their feedback. They may sing praises or vent their frustration. Engage with them by responding with the latest updates to the project.
Backers love people who take the effort to reach out to them.
- Unclear pledge levels
Sites with vague pledge levels are a major put-off. Potential backers expect to have clear pledge levels mentioned on the campaign page. Think over the kind of pledge levels you want associated with your campaign. Verify its potential to attract backers – only then should you proceed to list it on your site.
- Unclear details on shipping
Let’s assume your crowdfunding campaign is a success. You then start mass production of these products. The problem is that shipping can be expensive at times. This forces the creator to avoid sending the finished products to backers. The product begins to sell in the marketplace though – this is where you lose a great deal of face.
Specify shipping charges if any or how you intend to send products out to backers.
- Treating the campaign like a hobby
A campaign needs several hours of your attention each day. Make sure you are able to find considerable time to promote it while interacting with backers.
People who treat their campaigns as a hobby are not really serious about meeting with success. Are you in the same boat? If yes, then it’s high time you adopt a positive attitude and aggressive attitude towards such campaigns.
- Waiting till the last moment to promote your campaign
A lot of people start promoting their campaigns very late. For example, a majority of campaigns are promoted aggressively only a week or two after launch. This is a wrong move. These late promotions are reactionary steps taken after noticing no or minimal activities on the campaign page.
Be pro-active and give your campaign the boost it deserves! You should start marketing activities well in advance – at least a month before you launch your campaign. This gives potential backers the time to get acquainted and prepared for your campaign launch.
The 15 reasons featured here provide you with valuable lessons on what to avoid for your next campaign. Read through them and fine-tune your approach to campaigns! We wish you the very best!
Get in touch with us if you have any questions regarding crowdfunding campaigns. Our team of campaign experts will provide you with quality insights to drive your business or cause forward.